Page 20 - Insurance Times March 2017 Sample

3) Norske Veritas Since this policy offers minimum cover, lowest premium is
charged for issuing this policy. However if the insured desire
4) Lloyds Register
to have wider cover - i.e. to cover risks more than Fire
5) Registers Italiano.
lightning, then he can opt for Inland Transit (Rail/ Road) -
clause B.
Important Marine Clauses:
As stated earlier in Marine Insurance there is only one policy Inland Transit (Rail / Road) clause B
form and any type of policy can be issued by attaching This policy covers the risks of physical loss / damage to
relevant clauses. There are different clauses for Marine insured goods caused by:-
cargo and Marine Hull business. Some of the important a) Fire
clauses used in Marine cargo business are as under: b) Lightning
1) Institute cargo clause 'C'
c) Breakage of Bridges
2) Institute cargo clause 'B'
d) Collision with or by carrying vehicles
3) Institute cargo clause 'A'
e) Overturning of carrying vehicles
4) Institute cargo clause (Air)
f) Derailment or accidents of like nature to the carrying
5) Duty insurance clause railway wagon / vehicle.

6) Increased value Insurance clause
A comparison of IT(C)& IT (B) would reveal that the IT (B)
7) Inland Transit (Rail or Road) clause C
clause covers more risks as compared to IT (C). Therefore
8) Inland Transit (Rail or Road) clause B more premium is charged to issue IT (B) policy than IT(C)
9) Inland Transit (Rail or Road) clause A policy.
10) Institute war clause (cargo)
In addition to the above risks the IT (B) claim can be
11) Institute strike clause (cargo) extended to cover the risks of

12) Institute theft, Pilferage & Non-deliver clause a) Theft
13) Institute war clause (Air) b) Pilferage
14) Institute strike clause (Air) c) Non-delivery
15) Strike, Riots & Civil commotion clause d) Strikes, riots, civil commotion (SRCC) etc and additional
premium is charged for covering these risks.
16) Institute classification.

Inland Transit (Rail /Road) 'A'
Transit (Rail /Road) Clause - C An insured may like to cover his goods for the maximum
Inland Transit (Rail / Road) clause C risks (i.e. widest cover) so as to have full protection. In such
cases IT (A) policy is insured which cover every type of risks
This clause is used when goods are in transit within India but there are some exclusions i.e. IT (A) although covers
and it provides the minimum cover and the risks of physical every type of risk but there are some exclusions which can
loss / damage caused by:- be relied upon by the insurers to deny the liability. There
a) Fire exclusions are known as General exclusions.
b) Lightning is covered under the policy
Duration of Policy:
Duration: Insurance attaches with the loading of each bale The duration of the risk under IT (C) has already been
/ package into the wagon / truck for commencement of explained. The duration under IT (B) & IT (A) is same and
transit and continues during ordinary course of transit, under both these clauses the risk attach from the time the
including customary transshipments and ceases goods leave the warehouse / or the place of storage
immediately on unloading of each bale/ package mentioned in the policy, for the commencement of transit
a) at destination railway station for rail transit
and continues during the ordinary course of transit including
b) at destination in the policy in respect of road transits customary transshipment if any,

20 The Insurance Times, March 2017

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